Close on the heels of winning contracts in China, Iraq and Saudi Arabia, ABB Ltd. (ABB - Analyst Report) has now won an order from the Norwegian Transmission System Operator, Statnett SF. ABB will be responsible for the construction of two 420 kilovolts (kV) transmission substations. ABB received the order during the second quarter and expects to complete the project by the second half of 2014.
The construction of these two substations is a part of the overall initiative undertaken by the Norwegian Transmission System Operator to expand and strengthen the nation’s power grid. These substations are expected to increase the grid’s capacity and enhance power reliability.
According to the contractual agreement, ABB will be required to design, supply, install and commission the substations. Additionally, ABB will supply circuit breakers, air-insulated switchgear as well as other high-voltage equipments.
ABB is the world’s largest supplier of turnkey air-insulated, gas-insulated and hybrid substations with voltage as high as 1,100 kV. These substations are eco friendly and help in efficient and reliable transmission and distribution of electricity.
The construction of the two substations is a part of the Eastern Corridor Project, whereby Statnett SF is planning this upgrade to help in the development of renewable energy and power exchange with the continent. It will further boost industrial development. The two substations, Bamble and Grenland, will be constructed along the newly proposed 420 KV transmission line between Bamble and Rød in southern Norway.
Based in Zurich, Switzerland, ABB Ltd. is a power and automation technology company and currently has a Zacks Rank #3 (Hold). Some other players in the same industry, which can be considered for buying are Orion Marine Group, Inc. (ORN - Snapshot Report) and Willdan Group Inc. (WLDN - Snapshot Report), with a Zacks Rank #1 (Strong Buy). Another peer, Chicago Bridge & Iron (CBI - Analyst Report) is also a good pick and it carries a Zacks Rank #2 (Buy).